Admin. charge for Deed of Covenant

[craig@gbsuk.com]

Hi all,

I'm looking for some advice with an issue that I have with the person that I pay ground rent to. I have two flats in the same block and they insist that a 'Deed of covenant' exists between the person I rent the flat out to (sub-tenant) and themselves.

This is not a problem in itself, the requirement is stated in the lease. The issue is that they insist on charging a fee of nearly £200 to cover their 'legal and administrative costs'. It is their intention to charge this fee everytime I get a new tenant.

If I tell them to bugger off with their fee and simply provide the deed, am I leaving myself open to unpleasant repercussions?

Thanks for your time

[Poppy]

I think the charge is excessive.

At the very least they (freeholder/managing agents/management company) require the following:

- the deed of covenant, which naturally includes the tenants' names.
- a copy of your signed agreement with the tenants.
- your contact details.
- the contact details of any managing agents that you have appointed.

Send them what I have outlined above with a cheque for say £20 for each flat and a covering letter stating that the cheque is to cover full and final payment of their admin fee.

[attilathelandlord]

Speak to LEASE a free advice line who deal with longleaseholder/freeholder problems.

www.lease-advice.org